PMFTC
 | |
| Type | Subsidiary |
|---|---|
| Predecessors |
|
| Founded | February 25, 2010 [1] |
| Headquarters | Taguig (head office) Tanauan, Batangas (main plant) Marikina (second plant, formerly FTC main plant) |
| Key people | Lucio C. Tan, Sr. (Chairman) Gijs Lambert Johan de Best (President)[2] |
| Products | Cigarettes |
| Brands |
|
Number of employees | 4,700[3] |
| Parent | Philip Morris International LT Group |
PMFTC, Inc. is the Philippine affiliate of Philip Morris International (PMI). Owned 50-50 by PMI and local conglomerate LT Group,[4] PMFTC is the leading cigarette manufacturer in the Philippines, controlling over 90% of the local market, commercialising the brands Marlboro, Chesterfield, Fortune International, Hope Luxury, and More, among others.[3]
The company is a joint-venture between the Philippine unit of PMI and local firm Fortune Tobacco Corporation (FTC),[5] which joined forces in 2010 to form a new company that, after the agreement, would control the 90% of the market.[1]
History
[edit]In 1955, Philip Morris International entered into a licensing agreement with La Suerte Cigar and Cigarette Factory to manufacture and sell Marlboro cigarettes in the Philippines.
Fortune Tobacco Corporation (FTC) was established in 1966, founded by Benito Tan Kee Hiong, Atty. Florencio N. Santos, Lucio Tan and Mariano Tanenglian. Its factory is based in Barrio Parang, Marikina. In 1974, FTC signed a licensing agreement with R. J. Reynolds Tobacco Company to exclusively manufacture and distribute RJR brand cigarettes in the Philippine market.[6] By 1980, FTC was the largest cigarette manufacturer in the country.[7] British American Tobacco credited FTC's high market share to "unfair and discriminating laws to favor Fortune", with practices such as its classification of international brands as local brands in order to obtain lower tax duties and acquire a pricing advantage.[6]
In 1993, Philip Morris Philippines, Inc. (PMPI) was established to handle all sales and marketing aspects related to the Marlboro and Philip Morris brands.
On the morning of June 27, 2000, a helicopter owned by FTC was being piloted by 28-year-old employee Reginaldo "Reggie" Bunag, by then a councilor of Rodriguez, Rizal, with his wife Marilyn as passenger when it crashed by a river near the Philrock Quarry in Barangay San Isidro, Rodriguez after becoming entangled in high-tension wires.[8] Both Bunag and Marilyn perished from the crash, with FTC being fined and faced with suspension as a result of the incident.[8]
In 2002, the licensing agreement with La Suerte was terminated and Philip Morris Philippines Manufacturing, Inc. (PMPMI) was established to handle all aspects of the Philippine business, including manufacturing operations. PMPI was subsequently merged with PMPMI. A new factory located in Tanauan, Batangas was inaugurated by PMPMI in 2003.
In 2005, a sitio of Barangay Parang in Marikina that has served as the location of Fortune Tobacco's factory is split off to become Barangay Fortune, named after the company.[9] The separation was later confirmed by Republic Act No. 9431 in April 2007. Previous efforts to create a Barangay Fortune date back to 1983, when a parliamentary bill was filed during the Interim Batasang Pambansa; one of two Parang Elementary Schools was renamed Fortune Elementary School for disambiguation in February 1989 by Republic Act 6705.[10]
On February 25, 2010, PMI and Fortune Tobacco Corporation (FTC) signed an agreement to unite their respective business activities by transferring selected assets and liabilities of both companies to a new company named PMFTC, Inc., with each party holding an equal economic interest.[1][11] The agreement stated that PMI retained its export business, while FTC kept its interest in the distribution of the Winston brand of Japan Tobacco. PMFTC would not be affected by pending tax and ownership disputes with local courts involving FTC.
On June 1, 2021, when PMFTC Inc., which the group indirectly owns through Fortune Tobacco Corporation, obtained board approval to merge with Philip Morris Philippines Manufacturing, Inc. and PMFTC would be the surviving corporation.
Brands
[edit]PMI brands
[edit]- Bowling Gold
- Bowling Green
- Chesterfield
- L&M
- Marlboro
- Miller
- Philip Morris
- Stork
- IQOS
- ZYN
FTC brands
[edit]- Boss
- Champion
- Fortune International
- Hope Luxury
- Jackpot International
- Mark
- More
- Terra
- Westpoint
References
[edit]- 1 2 3 "Philip Morris, Fortune Tobacco form joint venture". ABS-CBN News. Manila, Philippines. February 25, 2010. Archived from the original on February 26, 2010.
- ↑ "PMFTC elects new president". The Philippine Star. April 20, 2024.
- 1 2 Overview PMI Philippines on PMI website
- ↑ Organizational Chart on LTG website (September 15, 2020)
- ↑ PMFTC on LTG
- 1 2 Alechnowicz, K; Chapman, S (December 2004). "The Philippine tobacco industry: "the strongest tobacco lobby in Asia"". Tobacco Control. 13 (Supplement 2). BMJ Publishing Group Ltd.: ii72. ISSN 0964-4563. Retrieved August 25, 2026.
- ↑ Coronel, Sheila S. (2000). "Lucio Tan: From the Shadows into the Light". In Coronel, Sheila S. (ed.). Investigating Estrada: Millions, Mansions and Mistresses. Quezon City: Philippine Center for Investigative Journalism. p. 154. ISBN 971-8686-290.
- 1 2 Burgonio, TJ; Rivera, Blanche (June 28, 2000). "Lucio Tan pilot, wife die in chopper crash in Rizal town". Philippine Daily Inquirer. Vol. 15, no. 201. p. 18. Retrieved August 25, 2026.
- ↑ Tandoc Jr., Edson C. (September 14, 2006). "New police precinct". Philippine Daily Inquirer. Vol. 21, no. 278. p. A20. Retrieved August 25, 2026.
- ↑ "House Bills Filed". Manila Standard. Vol. II, no. 47. March 29, 1988. p. 7. Retrieved August 25, 2026.
HB 5371 (Rep. Democlito Angeles, LP-Marikina) Changing the Name of Parang Elementary School to Fortune Elementary School...
- ↑ "Philip Morris International Inc. (PMI) Announces New Business Transaction in the Philippines". Philip Morris (press release). February 25, 2010.[dead link]
External links
[edit]- PMFTC, Inc. on PMI
- PMFTC on LT Group
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